2026 to see rise in digital wallets, decentralized identity

Digital identity and cybersecurity experts forecast that 2026 will witness accelerated adoption of digital wallets and decentralized identity systems, coupled with a fundamental shift toward continuous monitoring of both human and machine identities to counter AI-driven threats, reports Security Brief New Zealand.

According to Ping Identity executives, the global expansion of government and corporate digital ID frameworks will increase public anxiety about sophisticated, AI-enabled social engineering scams. Alex Laurie, GTM CTO at Ping Identity, noted that while adoption grows, "identity theft fears will only intensify," advocating for decentralized identity solutions using verifiable credentials to give individuals control and minimize data exposure.

Simultaneously, Ping Identity CISO Russ Kirby declared that the traditional security perimeter is vanishing, replaced by a new frontline of "Identity at Runtime," which is the real-time analysis of every identity's actions. He warned that autonomous AI agents, or "agentic identities," require governance equal to human employees, and that unsanctioned "Shadow AI" tools pose significant risks.